Kolon Industries posts 66% jump in Q3 operating profit on CPI film supply expansion

Kolon Industries posted operating profit of 40.2 billion won ($29.9 million) in the third quarter, up 66 percent from a year earlier, the company announced Wednesday. Sales rose 9.8 percent over the same period to 1.27 trillion won.

Despite persistent external headwinds — including a weaker exchange rate and rising raw material costs — the company staged an earnings rebound, driven by steady growth in chemical products such as petroleum resins and an expansion in CPI film supply volumes.

The industrial materials segment posted modest year-on-year sales growth. Aramid maintained full production and sales capacity, while tire cord sales to major customers also increased. The chemicals segment saw both sales and operating profit rise, led by strong performance in the CPI film business. Key products including petroleum resins, phenolic resins and epoxy resins continued to record stable sales.

The fashion segment grew sales from a year earlier despite the seasonal off-peak period, with outdoor and menswear lines driving the gains. Operating profit also improved slightly year-on-year, as efficient integrated operations offset increased investment in new brands.

"Despite growing external volatility, we achieved year-on-year earnings improvement through operational efficiency-based structural reforms and a portfolio realignment centered on high-value-added products," a company official said. "We will continue to secure mid- to long-term growth engines by strengthening the competitiveness of our core materials and expanding our customer base."